Bitcoin spot ETFs were successfully launched in the US. Now, financial institutions in Hong Kong are getting ready to take advantage of the growing interest in cryptographic money investment products.
In December of last year, Hong Kong began accepting applications for Bitcoin spot ETFs. However, no related news stories have made a fuss around town yet, leaving Asian investors at risk of falling behind their American partners.
Hong Kong-based charities are getting ready to send off spot ETFs for Ethereum while they try to solve this problem.
Reports from nearby news outlets say the goal is to get ahead of the US and make Hong Kong’s position in the global crypto market stronger.
Bitcoin Spot ETFs See Regular Flows of Money.
Last week, the net entry of Bitcoin spot ETFs in the US was more than $2.24 billion. This caused the price of Bitcoin to reach new all-time highs.
Coinglass says that the total amount of money that Bitcoin ETFs are managing right now is still $55.34 billion.
There are three key players in this space: GBTC, IBIT, and FBTC. Together, they control $27.73 billion, $12.97 billion, and $8.35 billion.
These numbers show a rise of more than 40% in prices compared to mid-January.
Following the Bitcoin craze, two Bitcoin fates ETFs in Hong Kong have also seen a lot of growth.
The Southern Bitcoin ETF (3066) hit a high of 27.5 yuan, which is a 2.5-fold increase from its opening price. The Samsung Bitcoin ETF (3135) also hit a high of 26.8 yuan, which is a 2.2-fold increase.
Amidst the many Bitcoin-related speculative items on the market, attention has turned to the growth of Hong Kong’s Bitcoin spot ETF donations.
Chief of HashKey Trade and COO of HashKey Gathering, Weng Xiaoqi, stressed how important it is for Asian investors to look into local ETF products.
At the moment, most of these projects are funded by European and American groups, which could make things hard for Asian investors.
Weng said that putting off sending off spot ETFs in Asia for six months would mean that U.S. capital would take longer to move through, which would lead to higher buy costs and a greater chance of being overtaken by American capital.
So that this doesn’t happen, HashKey is working with its partners to speed up the posting of trading items like Hong Kong spot ETFs and companies.
Spot ETFs will help Hong Kong bring in a lot of money.
Weng said that Hong Kong, as a well-established global financial hub, could bring in a lot of money once Bitcoin spot ETF trading starts. This would make it a major player in Asia’s virtual resource market.
Even though clear rules about the listing of the main group of Bitcoin spot ETFs in Hong Kong haven’t been made official by the Securities and Futures Commission, it makes sense that the number of ETFs listed in Hong Kong will be lower than the 11 listed in the US.
For Hong Kong’s turn of events, it would be better to have focused liquidity with limited Bitcoin spot ETF postings. This is because the Hong Kong and U.S. markets have different capital sizes.
Weng emphasized that crypto investors around the world are eagerly anticipating the launch of Ethereum spot ETFs, and Hong Kong is actively discussing and making plans for these things.
The city state could become a leader in the global crypto market if it can make these efforts faster than the US. Presenting them later would only help the market grow.
Reports from earlier have shown that 10 financial institutions in Hong Kong have said they want to apply for Bitcoin spot ETF dispatches.
Collect Asset, for example, sent important applications to the Protections and Fates Commission in the middle of January, pointing out the growing demand for crypto-related business products in the area.